The court ruled conservative interest groups behind the suit, as well as the Trump administration, have until September to decide how to proceed given changes to federal priorities.
After a series of delays, a federal judge last week temporarily stayed a lawsuit against Dominion Energy's wind farm off the Virginia Beach coast.
Judge Loren AliKhan of the U.S. District Court in Washington ruled that the groups involved must decide whether they wish to proceed by late September. The lawsuit does not currently affect Dominion's ability to move forward.
The delays in the case stem from changes in federal leadership and policy under President Donald Trump, who has taken action to halt the offshore wind industry.
The $10.8 billion Coastal Virginia Offshore Wind project will be the nation's largest, with 176 turbines expected to produce 2.6 gigawatts of electricity. The utility started building it last year and says it is more than halfway finished.
Shortly before construction began, a coalition of conservative interest groups filed suit against both Dominion and the federal agencies that approved the project's final permitting in 2023.
The plaintiffs include the Heartland Institute and Committee for a Constructive Tomorrow, which have long opposed renewable energy projects and rejected the scientific consensus that human activities are driving climate change. They argue federal officials failed to adequately consider the Virginia project's potential impacts to marine life, including whales, citing the Endangered Species Act.
Dominion points to measures it is required to use to protect marine life, such as reduced boat speeds and dampening the sound of underwater construction.